The first thing that all beginner traders found out is that 95% of Forex traders fail. In spite of that, every newbie wants to be included in 5% of winners and come near George Soros, Stanley Druckenmiller or Bill Lipschutz. Some people think that these traders were extremely lucky and perhaps, they are right. But on the other hand, maybe they had some exceptional skills and attitudes? What really helps to make money on Forex, apart from a good trading strategy, the right Forex broker and a good luck?
Let’s figure out what you should know about successful forex traders in order to become one of them.
5 Secrets of A Successful Forex Trader
The most amazing thing about successful forex traders is that they never “lose”
Obviously, there are no Forex traders without losses, but newbies and experienced traders lose in different ways. Most of Forex newbies think that a loss is definitely a bad thing and waste their energy avoiding losses. Moreover, they generally become so upset that cannot analyze their mistakes and learn something new from losses.
A successful trader believes Forex loss is not a fail or bad luck. It is an opportunity to improve his or her trading, just a feedback from the market that may be valuable. Or not – it is always up to a trader.
If you think of a Forex loss as an investment (a kind of investments in your education) and keep your mind open, you will have much more opportunities and resources to perform successfully.
Trying too hard is a wrong way
People believe that if you work had you will succeed. Well, in some cases, it is the truth, but Forex is an exception. You cannot make your Forex strategy work if it does not work. You will spend your time, money and emotions in a wrong way and after some time just fell exhausted.
Weariness and annoyance are powerful emotional reasons that may ruin your trading. Sometimes all you need is to stop over-analyzing and double-checking. To put it in a nutshell, take it easy and rely on your intuition in some cases.
Remember how much you can afford risking
Successful Forex traders hardly ever forget how much money they risked on every single trade. This is a simple approach that definitely may affect positively on your trading. Most of the newbies think about points, margin, account balance and future profit, ignoring how much they may lose.
They concentrate only on a possible victory and forget about risks. When they lose, they are not ready for this, because they hope for profit and forget about the dark side of trading. There is the only way to fix it: you should remember about risks always.
Do not use the last money trading Forex
Successful Forex traders do not spend their last money on Forex. They only use the money they can afford to lose and this helps them to avoid greed, anger, fear, disappointment and problems with banks, creditors, and families. No one can guarantee that trades you set up tomorrow will be profitable.
If you start trading and feel pressure, it will definitely spoil your trading and push you to make wrong choices and decisions, because you will try too hard and trade emotionally.
Successful traders know when to stop and take a break
It is extremely important to be deeply into a trading process and spend a lot of time trading, analyzing and learning new methods and strategies. But it is essential to have a rest and realize when it is time to stop trading and just wait and relax.
Sometimes the market shows us that the situation is too complicated and it is better to walk away. In other cases, it can be huge losses we made or our emotional state, which makes the trading harder and risky. Anyway, successful traders know that there is a time for work and a time for rest. To take a break does not mean to lose or give up, it is just mean that everybody needs time-off.
These 5 things are quite simple, but at the same time, they give a really good explanation of the difference between Forex newbies and successful experienced traders. They show that successful traders just think differently. The good news about that is anybody can follow these tips and improve his or her way of thinking.
Beginner traders can change their habits, attitudes and beliefs and develop their trading skills and strategies in order to succeed. Research showed that a new habit grows during just two weeks.
As the result, you can develop your habit to think like a successful trader just in 10 weeks or 2,5 months. We encourage you to start right now and do not postpone your better life as a Forex trader. It is a good moment to start, isn’t it?